Canada Small Business Financing Regulations

28.1 When the loan term is longer than the applicable maximum term specified in subsection 6(2), the Minister must pay the lender the amount of any loss calculated in accordance with subsection 38(7) if the default referred to in section 36 occurs

• (a) in the case of a loan referred to in paragraph 5(1)(a), before the expiry of 15 years after the day on which the first payment of principal and interest is due; and

• (b) in the case of a loan referred to in paragraph 5(1)(b) or (c), before the expiry of 10 years after the day on which the first payment of principal and interest is due.